Bitcoin Breaks Downtrend Line, Rare Market Signals Hint at Multi-Week Rally
Bitcoin has broken through a key downtrend line that had capped its price since early October, according to analysis from 10x Research.
The cryptocurrency's sideways trading over the past few weeks hid significant shifts beneath the surface, which historically precede multi-week recoveries.
A chart by 10x Research shows Bitcoin breaking above a descending trendline that had restricted its price since October. This structural change is considered essential for any sustained reversal.
The market's impaired structure, created by the October 10 crash and nearly $903 million in Bitcoin ETF outflows after the October 29 FOMC meeting, has lingered through November.
Seller exhaustion had largely set in by November 22, yet price failed to recover due to capital rotation flowing elsewhere into year-end performers.